Here's a statement of the obvious: The opinions expressed here are those of the participants, not those of the Mutual Fund Observer. We cannot vouch for the accuracy or appropriateness of any of it, though we do encourage civility and good humor.
I couldn't be more impressed with Grandeur Peak, they're doing what they said they'd do. As for your choices, personally I'd be happy with them making the choice as to how much emerging markets to have so I'd consider GPEOX a bit superfluous, but m…
Are the inflation statistics used to adjust the figures used in these studies sufficiently accurate for us to draw any valid conclusions from them? And I didn't ask if they're honest, I asked if the historical inflation figures from all of these co…
Very good job, cman. It's simple arithmetic that the market returns what the market returns minus the costs of investing in the market. So if mutual funds are representative of some market then they must underperform that market by the amount of t…
I also prefer value investing. When and if Grandeur Peaks opens their 'Fallen Angels' fund I fully expect to go there for all my small cap exposure. In the meantime, I own QUSOX for foreign small cap. Like Polaris as a company, and a low volatili…
A common argument, used in the article, to show that the stock market isn't in a bubble is to compare its current valuations with the highest valuations ever reached. If this isn't the greatest bubble of them all, they say, it follows that it isn't…
FWIW, and I admit it ain't worth nothin', I agree with Mr. Ritholtz on this one (and that is by no means always the case). My gut reaction whenever either Wall Street or Efficient Marketeers start talking about 'liquidity' is to hang onto my wallet…
@scott, I never understood this move to defensive sectors as an allocation strategy unless it is a very short term momentum strategy.
Perhaps it is a vestige of a few decades ago when asset classes moved in economic cycles and there was a significa…
Steve999: The company receives new capital only through its IPO or through additional new stock issues. If you buy stock from someone who already owns it, the company doesn't receive any new capital but part of the ownership of the company is tran…
I took a look at EVGBX in comparison with JGVAX and PGVFX and I fear I can't find even one reason to prefer it over either of those. It's no smaller in AUM, little if any more 'valuey', hasn't performed nearly as well, has been far more volatile an…
The original interview with Graham from which the above quote is taken concludes with this quotation. To the question: "Can you indicate how an individual should create and maintain his common stock portfolio?", Graham gives two approaches. The f…
IMHO, acronyms are the tools of the Devil.
But seriously, the only proper use for them is as a way of saving space and the effort of typing. Too often these days they're used gnostically (if that's a word) as a way to separate the enlightened who …
Gee, Mauboussin's two sentences as quoted contradict themselves. If "focusing our attention on the process," or anything else, "can maximize our chances of good outcomes," then it's false to say that, "We have no control over outcomes..."
Still, I…
I think there's as much difference between short duration junk and regular high yield as there is between short term investment grade and long term investment grade. Don't know if there are enough short duration junk funds for Morningstar to consid…
Perkins Global Value Fund (JGVAX) seems to fit your criteria well. It's all-cap, run by a respected value firm, plays a lot more defensively than PGVFX (which I also like). At last report the cash level was around 16%, AUM isn't very large, its h…
According to Morningstar, TWEBX had 60% of its holdings in small or midcap back in 2000, and the fund is still relatively small ($602 million per M*), so I'd say that the large cap emphasis now is just a valuation judgment. The case with Tweedy's f…
It's good to see a company keeping its word. I have some money in GPROX and intend on investing a lot more when they open their 'Fallen Angels' fund. This is really a model for what a small cap investment firm should be. Keeping your aum down is …
Reply to @Ted: Auxier has managed a lower risk fund. Over the last ten years compared to VFINX (the S&P 500):
AUXFX:
Avg. Return - 6.63
Std. Dev. - 10.91
Sharpe Ratio - 0.49
Sortino Ratio - 0.71
VFINX:
Avg. Return - 6.72
St. Dev. - 14.67
…
Reply to @Ted: They've been paying monthly dividends which generally have been rising (one exception, the second declaration, I believe). If you multiply the most recent monthly dividend (for January) by 12 you'll get close to 5% on the year, but…
Perhaps someone could tell me if this makes any sense, because I'm hardly expert in such things:
According to Morningstar, RSIVX has an Average Weighted Coupon = 9.91 and an Average Weighted Price = 104.26. The fund also holds 71.82% in bonds and…
TWEBX is now a fully global fund and is rock solid, very much like ARTGX.
GAINX is a relatively new fund, low expenses and attacking investments from the dividend growth angle.
DODWX is a low expense large cap value fund from a very experienced co…
I have an HSA through PNC bank. No fees if you have either $5000 or $2000 in it, I forget which. There are about 11 or so mutual funds available for investment, including some good ones: VFSTX, DODIX and MWTRX among the bond funds, DODFX and Thor…
Reply to @mikes425:
Ah, I meant VCSH and VFSUX might as well be consolidated. Slipped my mind that VCXH is an etf. VFIDX is certainly more sensitive to interest rate changes and you could move that to short-term if you wish. The likes of OSTIX …
Reply to @mikes425:
If you're worried about volatility, I should think that your closed end funds would be the most volatile. You probably would keep the cash, and I don't see much reason not to consolidate the two vanguard short-term funds. I'm…
Reply to @Crash:
The M* risk grade is relative to the fund's category, which is 'moderate allocation'. Moderate allocation means between 50% and 70% stocks. If PRWCX gravitates above the midway point most of the time, I'd guess that its risk pro…
Well, I think you could get rid of all of those funds and consolidate into one or a couple of OSTIX, RSIVX, SUBYX, or one of the Metropolitan West funds (MWSIX, MWCIX), to name a few. Maybe keep one of the Vanguard short term funds, too. The kinds…
It is one of the best bond funds out there. Board favorite (and mine) RSIVX seems rather similar and without the possible AUM problem. Another similar fund that few seem to recognize is from Diamond Hill: DHSTX. I believe the M* rating is a com…
It's a conservative, low risk fund and such funds will almost inevitably underperform in a raging bull market. I used to own it, and I only sold it because I decided to go in a more global direction, not because of anything that AUXFX did. So far …
Historically, it's been the case that steeper yield curves have led to greater economic growth (or should I say 'have indicated greater economic growth'?). However, with the Federal Reserve, by their own statements, keeping short term rates practic…
This was a very interesting article. Personally, I think we would all be better off with the attitude that bonds were vehicles to be held to maturity rather than to be traded willy-nilly, and I admit that when I hear Wall Street babbling about 'liq…
I don't think there's much 'groupthink' around here. Mostly I think it's a matter of the old saying: 'Victory has a thousand fathers, failure has but one.' In a roaring bull market, the most aggressive funds do best, the most defensive do relativ…
I'm curious: Are there many actively managed funds that don't get to 5% cash from time to time? Even something like GPROX is at 8% cash at last reading, and I can't think of any actively managed fund that I've looked at which didn't get to 5% cash…
Reply to @AndyJ:
Agree with you there, AndyJ. I don't think all that much in general of our new Nobel Prizewinner, but CAPE was never sold as anything but a long term indicator (meaning at least 10 years). It's nothing that Benjamin Graham didn'…
I note that his old fund, ICMAX, has beaten him the last two years, about doubling him this year using pretty much the same investing philosophy. This seems to be the result of Cinnamond's investments in mining and energy stocks. These have done s…
I've been doing a serious portfolio makeover the last few months. Recently sold WEFIX and added to my RPHYX. For the rest I've been buying global, selling local:
Bought IVSIX, JPPIX, TWEBX, FPRAX, SGHIX, RPGAX, GPROX. Sold FPACX, PRWCX, VDIGX, G…
I'd like to know how big they plan on allowing this fund to become before closing it? The expenses seem relatively high, but they did a good job of closing RPHYX early, which mitigates high expenses in my mind.
Also, I've read that the fund buys b…
MJG, by your own statement, "These tools certainly can not predict future investment returns; nothing and nobody can. But they do provide guidance and awareness of the risks..."
Well, it seems to me that since they certainly can not predict future…
